Urgent Notice: Market Anomaly, Avoid Trading

Urgent Notice: Market Anomaly, Avoid Trading

Gold price movement is in line with our forecast. Gold prices surged after the Asian open, but there is a risk of a pullback, therefore we advise against chasing the rally. Our short position established at $4193 was timed very precisely. Our long position bought at $63 in the European session was sold near $4180. We need to closely monitor the price action during the European and US trading sessions. Gold maintains a steady upward structure overall, with bulls still in control. However, the rapid pullbacks during the rise indicate that while the upward momentum is strong, the pace is not smooth. Support is at $4163, with strong support at $4140-$4150.

Given the current abnormal market conditions, all traders should reduce their trading volume to avoid unnecessary losses.

This sudden technical glitch has a wide-ranging impact, affecting multiple contracts including US crude oil, gasoline, and palm oil, with WTI crude oil contracts completely suspended.

Traders indicate that US Treasury bonds and S&P 500 futures contracts were also affected. Furthermore, other trading platforms, including the forex trading platform EBS, were also affected by the suspension. “Market liquidity was already tight, and even a brief trading halt can distort price discovery mechanisms in bond, foreign exchange, and commodity markets,” said Charu Chanana, chief investment strategist at Saxo Bank in Singapore. “The main risk is the potential for sharp volatility once trading resumes.”

The exchange announced that all its derivatives were affected and that it was working with Globex’s supplier, the CME Group, to restore services as quickly as possible. “Our top priority is to minimize the impact and ensure market integrity,” the exchange said in a statement.

The derivatives mentioned in the announcement included the benchmark palm oil contract, which rose 0.54% to 4,112 ringgit ($995.88) per tonne when trading was suspended. The CME Group is one of the world’s largest derivatives exchanges, covering a wide range of assets including equities, bonds, currencies, and commodities. The CME Group operates core exchanges including the Chicago Board of Trade (CBOT), the New York Mercantile Exchange (NYMEX), and the COMEX. In addition, the CME Group holds stakes in other exchanges, such as the Gulf Commodity Exchange.